The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-10-15
KENN EDY'S PRETTY HAUL
THE JASPER LOAN ASSOCIATION
OUT $4,000.

OUT $4,000.
The Experts Report Submitted to the
Stockholders - Kennedy's PROPOSE
ton to Settle-He Admits the Short
age, but Says That He will Pay Every
Dollar in Time-His Indebtedness as
a Borrower.
The result of the experts investigation Of
the books of Daniel r. Kennedy late treas
urer of the Jasper Mutual Loan Association,
was submitted to the stockholders last night.
Kennedys shortage is put at 81, 81 2S
The amount of his arrearageS as borrower
is $500 For this the association holds
Kennedys real estate as collateral.
The experts report has been in the hands
of the directors several days, but was not
made public until last night
IN TANGLED CONDITION.
The books were found in a very tangled
condition, and it became necessary to OBJ
tain large amount of the data from which
the report is made up, from such sources as
the stock certificate book, the Secretarys
warrants. which were in the TreaSurer's
possession, and various memoranda which
was turned over to the expert. A separate
account had to be opened with every in
dividual who has had dealings with the
Association since it was organized.
HOW THE SHORTAGE OCCURRED.
Kennedy's shortage is chargeable to fifty
eight shares of unissued stock. His method
of working was something like this: Par
ties desiring to borrow from the Association
would arrange with the Treasurer to pur-
chase for them sufficient number of shares
to enable them to make the desired
loans When the warrant was drawn
upon the Association by the Secretary in
favor of the borrower for the net amount of
the loan be would pay over to the Treasurer
the amount necessary to purchase the stock.
IS SHARES OPERATED UPON.
This was the case with twenty -nine of the
fifty-eight shares upon which Kennedy
realized, the full amount of the warrant be-
ing paid to the borrower by the associations
check or, as was the case with the other
twenty-nine shares, the amount necessary to
purchase the stock was deducted from the
warrant, the borrower being paid the net
proceeds of his loan, less the price of his
stock.
STOCK NOT IN EXISTENCE.
The stock thus paid for, in either case,
was not purchased by Kennedy, and the
loans were thus made upon stock not in ex-
istence There were fifty-nine shares al
together of this character, but in one in
stance party making loan failed from
some cause to collect the amount of the
warrant and the loan being cancelled the
share upon which it was predicated was
also cancelled This left the number of
shares of unissued stock tifty-eight.
THE EXPERTS STATEMENT.
The full statement of Kennedy's collec-
tions is as follows:
81 installments on 400 shares at S.. S134, 200 90
Interest on loans made on stock in
Cllde1 In 400 shares. ................ 3S,OSO 90
of stock .,!..'.......... -. 1850 90
From fines 900. Observation-Disclosures. 203 40
On unissued stock. ............. $3.50 90
Interest on same Observation-Disclosures. 2s73O 90
Advance payments on same ........ 1850 90
Total ..........................s1 SIS, 51s 40
From this amount was deducted Sl0470,
the amount due by stockholders, leaving the
amount collected SIT, 04S 49, Other collec-
tions foot up $1,4S5, making the total
amount collected S179,2l3 40.
SOURCES OF CREDIT.
The sources of credit were as follows:
Payments made on Secretary's war
Payments made without Secretary's
warrants, but for legitimate pur-
poses, such interest upon adj
vances, payments, taxes on real eS-
tate, etc. .,............ .......... 1915 81
year. ...'.......... 'e.......... 1850 90
year ................. .......,...... 100 90
Amount paid by Kennedy to C. S.
Wood, being the balance of cash on
hand S162 81. leaving account de-
fcient of OBSERVATION-DISCLOSURES. 1905 26
In this is included the amounts deducted
from the face value of the Secretary's war
rant to pay for stock to be
cancelled, amounting on twenty-nine
shares to 50, 235, the par value of the other
Twenty-Five of the fifty eight shares at the
various dates at which such stock was
issued, amounting to IS, us, making total
shortage of So, 81 2S. This is, of course,
the amount of Kennedy's irregularity as
Treasurer, his arrearages as a borrower
being a different matter altogether.
RECEIVING THE REPORT.
The report was read by Director J. S.
Wood, who presided at the meeting in the
absence of the President. It created very
little stir, the stockholders many of them
having already been advised as to its con-
tents Upon motion of Mr.. r. B. Reppard
it was received as information, and a copy
was ordered sent to every stakeholder. A
letter was read from Mr.. Kennedy in which
he asked that a statement of his arrearages
be furnished to him. He said that he is anx-
ious to settle, if possible, and that he wants
% pay back to the association every dollar
that he owes it,
KENNEDY APPROVES 1T.
Mr.. Wood stated that the report had al
ready been submitted to MIR. Kennedy, and
he had admitted its correctness and had
approved it. Mr.. j. c. Rowland said that
he had also submitted TO him a statement of
his arrearages as a borrower, and he had
approved that. The Secretary was in
structed, however, to furnish him a
copy of the report. There was very little
discussion over the matter, and it was gen
orally accepted that the S22, 900, which, in
round numbers, is the amount of the late
treasurer's shortage, will have to be borne
by the association. The 5000 which he
borrowed is fully secured. No steps were
taken toward prosecution, and the matter
stands now where 1t did month ago.
Mrs, DeRenne's Will.
The will of the late Mrs. Mary DeRenne
was probated yesterday. 1t provides that
her houses on Bull street and at Wormsloe